Hostess Brands Inc. and the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union have agreed to mediation, stopping the planned shut down and liquidation of the Irving, Texas-based company.

Hostess Brands will enter into confidential mediation with a union that represents about 30 percent of its workforce on Tuesday.

A spokeswoman for Hostess said that a Monday afternoon hearing in bankruptcy court has been adjourned until Wednesday at 11 a.m.

The Hostess spokeswoman said the company is following a request from the judge in the bankruptcy case to enter into confidential mediation with the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union.

A strike by the union that began Nov. 9 helped prompt Hostess' Nov. 16 request to be liquidated. Last Monday, Hostess announced it was closing plants in Seattle, Wash., St. Louis, Mo., and Cincinnati, Ohio.

Jeff covers technology, telecommunications, banking and finance.

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